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is an IRA conversion from Traditional to Roth ALSO considered a "contribution"?

a person in their 30s making over 500,000 per year, in the USA, converts one of their Traditional IRAs to a Roth IRA in 2010 - they do NOT add any additional money to the Roth IRA in 2010 - the person has other Traditional IRAs that they contribute to (but do not convert those to Roth IRAs) - a popular tax software says the person has made excessive Roth IRA "contributions" in 2010 which are subject to a 6% penalty ... is the coversion (or rollover) considered a "contribution" ?

Thanks

1 Answer

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  • Anonymous
    1 decade ago
    Favorite Answer

    No. Converting an existing IRA does not count toward your annual contribution limit.

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